Labour Market Impact Assessment

It is a document that an employer in Canada needs to obtain first before hiring workers. A positive labor market impact assessment (LMIA) means that there is a need for a foreign worker to fill the job at hand and as that there is no Canadian worker is available to do the job.

An LMIA is an application that is to be made by an employer. Once the employer obtains the LMIA, then it is to be sent to the foreign workers to submit their work permit application. A foreign worker must attach the LMIA to his/her work permit application. Most of the time, a temporary foreign worker needs a work permit and along with a positive LMIA to work in Canada.

How CIC makes LMIA application decisions

The Employment and Social Development Canada (ESDC) take the decision whether to issue or not to issue a positive LMIA and then issued it to Citizenship and Immigration Canada (CIC). The CIC then conveys the employer of the final LMIA decision. 

In issuing an LMIA decision, ESDC will consider the following factors:

• – Is hiring a foreign worker will help create jobs for Canadian citizens and permanent residents.
• – The wages and working conditions being offered to the foreign worker.
• – The availability of Canadian citizens or permanent residents to do the work in question.
• – Whether a transfer of useful knowledge and skills would result from hiring the foreign worker.
• – The impact of hiring a foreign worker will have on the Canadian Labour Market.

LMIA Validity and Duration of Employment

After getting a positive LMIA, a temporary foreign worker has a time period of six months to use the LMIA for applying for a work permit. No further extensions will be given in any case. If the six-month period has been expired and a foreign worker didn’t submit a work permit application, then a new LMIA application is required for the application.

Important distinction: The validity of an LMIA shows the time period that a foreign worker applicant has for using the LMIA and apply for a work permit. The duration of employment of an LMIA, on the other hand, shows the length of work permit that will be granted using the LMIA. There are three options related to the duration of employment for an LMIA:

1. – A combination of permanent and temporary duration to support both a permanent residence application and a work permit application.
2. – Permanent duration to support the application of permanent residence. Work permits issued under a permanent duration is of the maximum period of two years.
3. – Temporary duration to support a work permit application only.

Jobs That Are Exempt From LMIA Requirement:
For some of the jobs, employers don’t need to obtain LMIA before hiring foreign national workers. There are three types of jobs that are exempt from the LMIA requirement:

1. – Jobs that are in the best interest of Canada ( Basically in economic terms)

2. – Jobs which are included an accord between the federal government and a provincial/territorial government.

3. – Jobs which are included in an international trade accord, such as the North American Free Trade Agreement (NAFTA).

Keep in mind that foreign workers that are exempt from LMIA requirements must have a work permit to do work in Canada.

Other LMIA-exempt individuals

There are a few other cases in which an individual can be exempt from the LMIA requirement. These cases are:

• – If a foreign worker doesn’t have any means of support
• – Some permanent resident applicants living in Canada. 
• – Some other humanitarian situations.